Paris - do you have any idea how insecure the images are once uploaded? They are uploaded with the same names as they have on the client's HDD. Which means that you could simply guess a filename - e.g. http://imageknockout.com/uploads/19.jpg - I simply went through all images 1.jpg, 2.jpg etc...
http://imageknockout.com/uploads/7.jpg - really cool layout!
http://imageknockout.com/uploads/CatJump.jpg - my test image

About the design - I agree with talkvb.